The total cost of constructing a standard home depends heavily on factors such as land location, design, size, and material selection. Here’s a rough estimate of current costs:
- 1-Bedroom Bungalow: ₦15 million – ₦30 million
- 2–3 Bedroom Bungalow: ₦25 million – ₦150 million
- 2–3 Bedroom Duplex: ₦50 million – ₦250 million
These figures include costs for land (in some cases), materials, labor, and permits. Location plays a major role; areas like Ikoyi and Lekki will demand more capital than suburbs like Ikorodu, Epe, or Badagry.
Key Permits & Approvals You’ll Need
Before you begin construction, it’s important to know that building in Lagos isn’t just about bricks and blocks; it’s also about playing by the rules. Many homeowners make the mistake of skipping approvals, only to face serious consequences down the line: fines, work stoppages, or even demolition.
To ensure your project runs smoothly and legally, here are the essential permits you’ll need and what they mean for you as a future homeowner or investor:
Essential Building Permits & Approvals in Lagos
1. Physical Planning Permit confirms your building design complies with local zoning laws, including setbacks, height limits, and land use.
- Cost: ₦50,000 – ₦3,000,000 (varies by location/project size)
- Issued by: LASPPPA (Lagos State Physical Planning Permit Authority)
Then we have the Environmental Impact Assessment (EIA), which is usually done in line with your physical planning permit It is used to evaluate your project’s potential environmental effects, drainage, waste, noise, and vegetation.
- Cost: As advised by the authorizing body
- Issued by: LASEPA (State level) or NESREA (Federal oversight)
2. Construction Authorization Ensures your structure is safe, technically sound, and meets engineering standards.
- Cost: ₦100,000 – ₦1,000,000 (depends on building type and floors)
- Issued by: LASBCA (Lagos State Building Control Agency)
3. Fire Safety Certificate Required for duplexes or multi-unit buildings to confirm basic fire safety measures like extinguishers and emergency exits.
- Cost: ₦50,000 – ₦150,000
- Issued by: Lagos State Fire Service
The permitting process can feel overwhelming at first, especially if you’re new to the real estate space. But with the right professionals, architects, surveyors, legal consultants, and engineers, you can handle it smoothly. These permits not only make your building legal and secure, but they also add long-term value to your investment.
So, take the time to do things right. Think of permits as the foundation that protects your dream home long after the last coat of paint is dry.
Key Factors Influencing Building Costs in Lagos
1. Location: Land prices vary widely. Premium areas like Lekki Phase 1 cost significantly more than places like Ikorodu or Epe. Proximity to key infrastructure also drives prices up.
2. Size & Layout: Larger homes cost more. Compact, efficient designs can reduce expenses without sacrificing comfort.
3. Materials: Using locally sourced materials helps cut costs. Imported finishes and high-end fittings increase your budget.
4. Labor: Affordable yet skilled labor is vital. Engaging experienced artisans ensures quality and minimizes costly corrections.
5. Infrastructure: Remote sites may require added investment in access roads, fencing, boreholes, or site security.
6. Project Management: Hiring a project manager or consultant improves oversight and reduces waste, often saving money long-term.
Steps to Building a Standard House in Lagos![]()
1. Land Acquisition: Secure land with valid documentation like C of O or Governor’s Consent.
2. Design & Approval: Work with an architect to design within your budget, then get the necessary government approvals.
3. Site Clearing & Foundation: Clear the land and lay a strong foundation based on soil and structural needs.
4. Structural Work: This major phase includes blockwork, pillars, roofing, and decking for multi-story builds.
5. Plumbing & Electrical: Install internal systems like water pipes and electrical wiring before sealing the structure.
6. Windows, Doors & Flooring: Add windows, doors, burglar-proofing, and floor finishes for structural and visual completion.
7. Interior Finishing: Includes painting, lighting, tiling, ceilings, kitchen cabinets, and other home fittings.
8. Utility Connections: Apply for water and electricity connections. Plan for sewage or boreholes if necessary.
Common Challenges to Expect
- High Land Costs: Prime locations demand premium prices and add legal/documentation costs.
- Material Price Fluctuations: Costs vary due to inflation, forex, transport, and demand, making budgeting unpredictable.
- Permit Delays: Slow bureaucracy or document issues can delay approvals and construction timelines.
- Power Issues: Unreliable electricity may hinder site work and require alternative power solutions.
- Weather & Logistics: Rainy seasons and poor road access can disrupt schedules and inflate transport costs.
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Final Thoughts
Building in Lagos is achievable with the right plan. Set a realistic budget, hire qualified professionals, and secure approvals early. Whether for living or rental income, real estate in Lagos can be a rewarding investment when approached strategically.